Autozone Inc

Company facts

Industry

Retail-Auto & Home Supply Stores

Headquarters

Memphis, Tennessee

Most recent report

10-K, filed Oct 26, 2026

Incorporated

Nevada

Filings on record

1,007+ filings

On EDGAR

CIK 866787

Fiscal year ends

August

Filer status

Large accelerated filer

What to read: FY2026 10-K

SECSift found 6 of 27 sections worth reading, with 0 positive, 12 notable, and 7 negative flags.

• Risk Factors (Item 1A)

  Company-specific quantified risks: 12% direct imports, 7% revenue CAGR, 8,031 stores, unionization, tariffs.
  Notable

  • Supreme Court invalidated IEEPA tariffs in Feb 2026; President imposed 150-day tariffs under Trade Act of 1974.
  • Revenue grew from $14.6B in FY2021 to $20.3B in FY2026, a 7% CAGR; store count rose from 6,767 to 8,031 (3% CAGR).
  • Investment-grade credit ratings required to maintain favorable borrowing terms; downgrade would raise costs.
  Negative

  • Unionization risk: none of 132,000 US employees are unionized, but NLRB decisions make organizing easier.
  • 12% of FY2026 purchases directly imported; new tariffs after Supreme Court ruling could materially raise costs.

• Market for the Stock (Item 5)

  Large buyback authorization increase and detailed repurchase activity with prices.
  Notable

  • No dividends paid; future dividends depend on financial condition, capital needs, earnings, and cash flow.
  • Board increased buyback authorization by $1.5B to $42.2B in June 2026, signaling confidence.

• Management's Discussion (Item 7)

  Full MD&A with detailed financials, segment results, debt, and share repurchases.
  Notable

  • Net sales grew 7.4% to $20.3B in FY2026, driven by 3.3% domestic same-store sales and 10.6% commercial growth.
  • Operating profit rose only 3.1% to $3.7B, as gross margin fell 29 bps due to a $192M non-cash LIFO charge.
  • Received $127.6M in IEEPA tariff refunds in FY2026, with $96.0M reducing cost of sales and $31.6M reducing inventory.
  • Issued $850M 4.950% Senior Notes due 2031 in July 2026; repaid $400M and $450M notes due April and July 2026.
  • Self-insurance reserves grew to $308.5M at FY2026 from $268.8M at FY2025; a 10% change would affect net income by ~$22.7M.

• Market Risk (Item 7A)

  Quantified interest rate and Mexican peso exposures with specific numbers; material risks.
  Negative

  • Variable rate debt increased 34% to $1.0B at Aug 29, 2026, from $748.6M a year earlier, with no swaps outstanding.
  • Mexican peso net asset exposure surged 46% to $1.3B at Aug 29, 2026, from $893M; a 10% adverse move would cost $116.6M.

• Financial Statements (Item 8)

  Financial statements and notes with material balance-sheet and risk details.
  Negative

  • LIFO reserve jumped from $83M to $275M in FY2026, a non-cash charge from tariff-driven price increases.
  • One vendor provided ~14% of total purchases in FY2026; one product class was ~14% of revenue.
  • Supplier financing obligations (confirmed invoices) rose to $5.78B at FY2026 year-end, up from $5.70B.

• Controls and Procedures (Item 9A)

  New ERP system implementation with inherent control risks disclosed.
  Notable

  • Disclosure controls and ICFR both concluded effective as of August 29, 2026, with unqualified audit opinion.
  • New ERP system implementation started in Q2 2026; will replace core financial systems, creating inherent control risks.

What changed: FY2026 vs. FY2025

About 6% of AZO's FY2026 10-K is new information. 40 paragraphs were added, 300 changed, and 46 removed. Below are the most important lines SECSift identified.

• Financial Statements (Item 8) 90
• Management's Discussion (Item 7) 57
• Exhibits (Item 15) 40
• Business (Item 1) 31
• Risk Factors (Item 1A) 31
• Form 10-K Summary (Item 16) 13
• Market for the Stock (Item 5) 6
• Market Risk (Item 7A) 6
• Cybersecurity (Item 1C) 2
• Other Information (Item 9B) 1
• Directors and Officers (Item 10) 1
• Related Party Transactions (Item 13) 1
• Accountant Fees (Item 14) 1